Determining the advertising expense


Problem: A retail store has three departments, A, B, and C, each of which has four full-time employees. The store does general advertising that benefits all departments. Advertising expense totaled $90,000 for the current year, and departmental sales were:

Department A     $356,250
Department B      641,250
Department C      427,500

How much advertising expense should be allocated to each department?

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Marketing Management: Determining the advertising expense
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